How Private Equity Is Buying Up Physical Therapy Clinics

Private equity firms have quietly rolled up thousands of physical therapy clinics across the US, consolidating a fragmented industry worth $35 billion. Lucas breaks down the math behind the roll-up strategy: why PT clinics have recession-resistant cash flows, how PE firms use a 'hub-and-spoke' model to centralize billing and marketing, and the controversy over whether patient outcomes improve or suffer when a local clinic gets bought by a national platform. Luna challenges the assumption that bigger always means better, citing a 2025 JAMA study that found higher referral rates but mixed satisfaction scores at PE-owned clinics. The episode also examines the recent $2.3 billion acquisition of a regional PT chain by a well-known healthcare PE firm, and what it signals for the industry going forward. #PrivateEquity #PhysicalTherapy #RollUpStrategy #HealthcareConsolidation #PEBuyouts #BusinessAcquisitions #TheBuyoutShow #FexingoBusiness #BusinessPodcast #FragmentedIndustries #HubAndSpoke #JAMASstudy2025 #PTclinics #ReimbursementRates #PlatformDeal #Optum #ATI #SelectMedical Keep every episode free: buymeacoffee.com/fexingo